The federal investigation into Mark Walter ramped up a year ago, according to new details revealed. Bloomberg reported that federal authorities executed a search warrant and seized a mobile phone and laptop belonging to the Los Angeles Lakers owner aboard a private aircraft at Chicago’s Midway International Airport last September. While the seizure occurred ten months ago, the revelation surfaces at a critical juncture for the 66-year-old billionaire. In October, a month after the incident, the NBA Board of Governors finalized the Lakers’ $10 billion sale.

The news of the electronic device seizure follows a report from The Wall Street Journal detailing how federal prosecutors in Manhattan and regulators at the Securities and Exchange Commission (SEC) have expanded their scrutiny of Walter’s financial empire.

The investigation now focuses on roughly $16 billion in private credit loans issued by two Delaware-based life insurance companies, Delaware Life Insurance Co. and Clear Spring Life and Annuity Co.

Neither Walter nor any of his entities has been charged with criminal wrongdoing so far, and legal experts note that similar inquiries frequently conclude without any charges filed or formal indictments.

However, the recent disclosures indicate that federal interest in Walter’s financial empire is significantly broader and much older than previously understood when reports first emerged earlier this month.

In the last 48 hours, it was also revealed that an internal whistleblower raised flags about how Guggenheim Investments records certain revenue figures.

It is the $362 billion asset-management arm of Guggenheim Partners, where Walter serves as chief executive, and facilitated the purchase of the Dodgers.

From there, investigators shifted focus toward $16 billion in loans routed through third parties to entities connected to Walter or his TWG Global holding company.

Regulatory rules mandate that insurers disclose related-party transactions to limit conflicts of interest and protect policyholders; Delaware Life previously disclosed roughly $1 billion in affiliated investments, later revising that figure to $16 billion.

Lakers operate as usual amid Mark Walters’ investigation

Spokespersons for Walter and his business interests have consistently maintained that all operations have strictly adhered to legal and regulatory standards. “Mark Walter and TWG have always acted in good faith,” a TWG Global representative told The Wall Street Journal, adding that the companies are fully cooperating with authorities and anticipate a favorable resolution.

Walters’ sports teams, the Dodgers and the Lakers, are not subject to this investigation. Crucially, no aspects of the federal inquiry connect to the Los Angeles Lakers, their front office, or the franchise’s day-to-day basketball operations.

The device seizure predated the finalization of Walter’s controlling stake purchase of the Lakers, and there is no indication that the team’s record-setting transaction is implicated.

Since confirming the sale, the Lakers, who remain under Jeanie Buss’ governance, have made several moves on the floor and in the offices.

While staff have been laid off, the Lakers have let LeBron James, Marcus Smart, and Rui Hachimura walk, and traded others. They’ve made upwards of $250 million in signings to secure the new Luka Doncic and Austin Reaves core.

While basketball fans have drawn comparisons to other ongoing league inquiries across the NBA landscape, the investigation into Walter’s businesses remains strictly an off-the-court federal matter concerning private asset management and insurance disclosures.

As training camp approaches, the Lakers’ day-to-day operations continue as scheduled while the legal process unfolds.